ABSTRACT
Many of the techniques of management which have been attributed to profit-making organizations can be successfully applied to the health care system. Market analysis which has been applied in the development of health maintenance organizations (HMOs) can be applied to other aspects of the system. HMOs and ambulatory clinics are developing in an effort to reduce costs. Some indication of the restructuring is already occurring in large hospital combines, development of ambulatory clinics, HMOs, and other newer means of delivery of care. Hospital personnel costs continue to increase at the expense of the patient. Management information systems can be developed which integrate the various operations of the hospital and system; a close examination of the role of personnel and the development of incentive programs, and quality circles. The few attempts to introduce operations research and scientific management have resulted in superior gains in productivity in the system.
